Thais will not slash all tariffs

Paopoom voices fear of hit to industries

- WICHIT CHANTHANUSORNSIRI AND BLOOMBERG

Thailand will not agree to reduce tariffs to zero on all US goods in ongoing trade talks, as such a move could significantly impact domestic producers and strategic industries, Deputy Finance Minister Paopoom Rojanasakul said.

Speaking ahead of a scheduled meeting between the “Team Thailand” delegation led by Finance Minister Pichai Chunhavajira and the Office of the United States Trade Representative (USTR) yesterday, Mr Paopoom emphasised the need to strike a balance between protecting exporters and safeguarding local producers, including farmers and small businesses.

“The winner in negotiations is not the one who gets the lowest tariff, but the one who can maintain the most balanced outcome,” said Mr Paopoom.

He revealed that current reciprocal tariff rates on Thai exports to the US average around 36%, and discussions are ongoing to secure more favourable terms.

However, he warned that any concessions made to reduce US tariffs would inevitably come with expectations for increased market access in return — something that could pose risks to Thailand's local industries.